Oregon State Contact Information

Taxation in Oregon

Oregon imposes a tax on the distribution of all tobacco products in the state. The tax imposed is intended to be a direct tax on the consumer, for which payment upon distribution is required to achieve convenience and facility in the collection and administration of the tax. The tax is imposed on a distributor at the time the distributor: (1) brings, or causes to be brought, into Oregon from without the state tobacco products for sale, storage, use, or consumption; (2) makes, manufactures, or fabricates tobacco products in Oregon for sale, storage, use, or consumption in the state; (3) ships or transports tobacco products to retail dealers in Oregon, to be sold, stored, used, or consumed by those retail dealers; (4) stores untaxed tobacco products in Oregon that are intended to be for sale, use, or consumption in the state; or (5) sells untaxed tobacco products in Oregon. Consumers in possession of untaxed tobacco products in Oregon are also liable for the tax.

The tax on cigars is 65% of the wholesale price, but not to exceed $0.50 per cigar. The tax on moist snuff is $1.78 per ounce based on the net weight determined by the manufacturer, except that the minimum tax is $2.14 per retail container. The tax on all other tobacco products is 65% of the wholesale sales price.

Licensed tobacco products distributors must file an Oregon Quarterly Tax Return for Tobacco Distributors (Form 530) and the associated schedules on or before the last day of January, April, July, and October of each year, along with payment for taxes due. Consumers who purchase untaxed tobacco products must file an Oregon Quarterly Tax Return for Tobacco Products (for non-licensed individual or business) and the associated schedules on or before the last day of January, April, July, and October of each year. Manufacturers must file an Oregon Quarterly Tax Return for Manufacturers Distributing Nonexempt Tobacco Products (Form 532) and the associated schedules on or before the 30th day following each calendar quarter.

Definitions in Oregon

“Tobacco products” means cigars, cheroots, stogies, periques, granulated, plug cut, crimp cut, ready rubbed and other smoking tobacco, snuff, snuff flour, moist snuff, cavendish, plug and twist tobacco, fine-cut and other chewing tobaccos, shorts, refuse scraps, clippings, cuttings and sweepings of tobacco and other kinds and forms of tobacco, prepared in such manner as to be suitable for chewing or smoking in a pipe or otherwise, or both for chewing and smoking, but does not include cigarettes.

“Cigar” means a roll for smoking that is of any size or shape and that is made wholly or in part of tobacco, irrespective of whether the tobacco is pure or flavored, adulterated or mixed with any other ingredient, if the roll has a wrapper made wholly or in greater part of tobacco and if 1,000 of these rolls collectively weigh more than three pounds. “Cigar” does not include a cigarette.

“Retail dealer” means any person who is engaged in the business of selling or otherwise dispensing tobacco products to consumers. “Retail dealer” also includes the operators of or recipients of revenue from all places such as smoke shops, cigar stores and vending machines, where tobacco products are made or stored for ultimate sale to consumers.

“Sale” means any transfer, exchange or barter, in any manner or by any means, for a consideration, and includes and means all sales made by any person. It includes a gift by a person engaged in the business of selling tobacco products, for advertising, as a means of evading the provisions of the Tobacco Products Tax, or for any other purpose.